The effectiveness of preferential loans in Cao Duong

In recent years, implementing the Government's policy on deploying preferential credit capital for poor households and other policy subjects, the preferential credit capital of the Social Policy Bank (SPB) Transaction Office of Luong Son deployed in Cao Duong commune has reached most poor households and other policy subjects, which is an important resource contributing to sustainable poverty reduction and ensuring social security in the locality.

Through practical research, it is shown that thanks to the effective implementation of policy credit programs, many households in the commune have had the opportunity to escape poverty, stabilize their lives and develop a sustainable economy . Preferential loans not only bring new livelihoods but also contribute to changing the face of the countryside here. Not only helping people escape poverty, capital to create jobs also opens up new economic development directions for many households.

Ms. Nguyen Thi Duong's family in Sau Thuong hamlet was able to borrow 50 million VND from the job creation program to invest in growing xạ đen on an area of ​​over 1 hectare. Previously, her family had grown xạ đen for 10 years on an area of ​​over ^3,000m2 for economic efficiency. Ms. Duong confided: Growing medicinal plants is a new economic development direction for the hamlet because the plants are easy to grow, after 10 months they can be harvested, 2 times a year with the selling price of dried leaves at 20,000 VND/kg. My family has invested in a chopping machine worth more than ten million VND to free up labor. Income from xạ đen is from 80-100 million VND/year, with savings to buy valuable household items.

With preferential loans, many families in Cao Duong invest in growing xạ đen, bringing high economic efficiency.

The Savings and Loan Group (TK&VV) in Sau Thuong hamlet has 36 members, implementing 5 credit programs with a total outstanding loan balance of over 1.7 billion VND, of which the highest outstanding loan balance for the job creation program is over 800 million VND. Ms. Bach Song Lam - Head of the TK&VV group has been a bridge to bring policy capital to the people for many years. Through group activities, she understands each family's situation. For households that do business effectively and have the ability to pay interest and principal, and have a clear production plan, she proposes to support investment capital for development to replicate the model.

With the main direction of investing in growing medicinal plants and raising livestock, many group members are effectively promoting the loan capital. Ms. Lam shared: We always pay attention to the evaluation stage, ensuring that the capital goes to the right subjects, not allowing the situation of borrowing for the wrong purpose. At the same time, we regularly organize group activities to remind members to use the capital for the right purpose, and share business experiences. Thanks to that, all households that borrow capital use it for the right purpose, pay the principal and interest on time, and for many years the group has not had overdue debt. Although the loan amount is not large, the group members know how to combine it with other resources and work hard to develop production to improve their lives.

According to statistics, Cao Duong commune currently has 4,150 households in 99 Savings and Credit Groups that have borrowed capital from the Luong Son Social Policy Bank with a total outstanding debt of 206,655 million VND implementing 8 credit programs, the savings balance through the group is 6,792 million VND. Of which, the highest outstanding debt of the NS&VSMT program is over 77 billion VND; the outstanding debt of the NS&VSMT loan program is over 74 billion VND... Overdue debt accounts for 0.01% of the total outstanding debt. Other credit programs such as loans for poor households, near-poor households, newly escaped poverty households... have also been implemented synchronously, contributing to diversifying people's livelihoods. From preferential loans, socio-economic development in the commune has been promoted, reducing the poverty rate.

Credit officers of the Luong Son Social Policy Bank Transaction Office compare loans with organizations receiving the trust of Cao Duong commune.

Not only helping people develop the economy, preferential loans also create momentum for the new rural construction movement in Cao Duong commune. Many households after escaping poverty have actively contributed to building roads, cultural houses, and schools.

According to the leaders of Cao Duong commune, in the coming time, the commune will continue to coordinate with the Transaction Office of the Bank for Social Policies Luong Son to expand the loan target, especially for young entrepreneurs and small-scale production and business households. At the same time, the locality will also strengthen technical training, support product consumption, and help people use capital more effectively and sustainably.

Dinh Thang

Source: https://baophutho.vn/hieu-qua-von-vay-uu-dai-o-cao-duong-242674.htm